Shorts Offer Opportunity in Bank of America
December 29, 2009 by Seeking Alpha
Filed under Investment Ideas
Original Article from Seeking Alpha Long Investment
Mark Riddix submits:
I read an article Monday about how Bank of America has seen a rise in short interest. Traders are betting against the nation’s largest bank and expecting a decline in price over the short term. While this may be true I think that any weakness in the stock should be looked at as a buying opportunity. I have been buying more Bank of America (BAC) whenever the stock drops to the $15 range. Shorts may temporarily drive the stock lower but I would just look at this as an opportunity to purchase more shares at a cheaper price.
Over the next few quarters Bank of America will be taking billions in write-offs from its home loan portfolio, small business loans and its credit card division. The country’s largest mortgage lender has seen its earnings hurt by foreclosures and loan modifications. Bank of America has seen loans in its small business division rise to the high teens. BofA is the nation’s 2nd largest credit issuer and has seen defaults rise to the low teens.
Read more articles from Seeking Alpha Long Investment
Wells Fargo, JPMorgan, and Bank of America: Stock Prices Can Double
November 23, 2009 by Seeking Alpha
Filed under Investment Ideas
Original Article from Seeking Alpha Long Investment
Amit Shah submits:
Simple Investment Thesis: pre-provision pre-tax earnings and normalized earnings power have NEVER been higher, banks are not paying dividends so tangible book value is increasing rapidly, and capital ratios are higher than ever in an improving economic environment. Wells Fargo’s (WFC) stock price is the same as pre-Wachovia despite a huge increase in earning assets relative to the increase in shares outstanding, a fortress like balance sheet with an incredible financing mix (the lowest cost of capital and cheapest deposit base of all large-cap US banks).
In the next few months, the large-cap U.S. banks will go much higher. If you listen to the bears, you will miss the rally (John Paulson and Warren Buffett are far more intelligent than Meredith Whitney, and Dick Bove said to buy Wells Fargo last year when its earnings power was lower, capital ratios were worse, and tangible book value was lower, and its stock price was higher). Anyone investing based on Meredith Whitney and Dick Bove’s advice will miss the next leg higher on large-cap banks. Also, Dick Bove should explain why Bank of America (BAC) and Citi (C) are better buys than Wells Fargo, which has a far superior management team, the best deposit base in the industry, and more consistent earnings power. If he thinks Wells Fargo needs more capital, then Bank of America DEFINITELY needs more capital. Personally, I think all the banks capital ratios are much healthier than in any time in the last five years and I would be strong buyer of Wells Fargo, JPMorgan, and Bank of America.
Read more articles from Seeking Alpha Long Investment
Cramer’s Lightning Round – Bank of America Needs a CEO (11/5/09)
November 6, 2009 by Seeking Alpha
Filed under Investment Ideas
Original Article from Seeking Alpha Jim Cramer
Stocks discussed on the lightning round session of Jim Cramer’s Mad Money TV Program, Thursday November 5.
Bullish Calls:
Inergy (NRGY): "I like that one. It’s propane…these are fantastic yielders."
Read more articles from Seeking Alpha Jim Cramer
Bank of America’s Gain Is Taxpayers’ Loss
September 23, 2009 by Seeking Alpha
Filed under Investment Ideas
Original Article from Seeking Alpha Editor’s Pick
The Baseline Scenario submits:
By James Kwak
I’m trying to figure out if I should be infuriated about the agreement allowing Bank of America (BAC) to walk away from the asset guarantees it got as part of its January bailout in exchange for a payment of $425 million. I can piece together part of the story from The New York Times, Bloomberg, and NPR, but the complete story is a bit hazy.
Read more articles from Seeking Alpha Editor’s Pick
Buying Gafisa on a Bank of America Downgrade
September 3, 2009 by Seeking Alpha
Filed under Investment Ideas
Original Article from Seeking Alpha Long Investment
Trader Mark submits:
I was wondering why Brazilian homebuilder Gafisa (GFA) was so out of the loop with the rest of the emerging market stocks; it appears Bank of America downgraded the company on a potential share offering "in the next 6 months". I bought a very small stake back after being mostly "out" of the position for many a week (and kicking self daily), but am cognizant of that very ominous gap in the chart over $20 which is where I’d much prefer to reacquire my big stake.
Via Bloomberg
Read more articles from Seeking Alpha Long Investment
Bank of America call spreaders target $22.50
August 20, 2009 by
Filed under News
BAC – Bank of America Corp. – Shares of BAC have gained 2% during the trading session to arrive at the current price of $17.10. A bull call spread established in the January 2010 contract today suggests that one investor expects the stock to rally by expiration next year. It appears that the trader has purchased 15,000 calls at the January 17.5 strike price for an average premium of 2.18 apiece spread against the sale of 15,000 calls at the higher January 22.5 strike for 69 cents each. The net
Cramer’s Mad Money – Bank of America Will Double (8/4/09)
August 5, 2009 by Seeking Alpha
Filed under Investment Ideas
Original Article from Seeking Alpha Jim Cramer
Stocks discussed on the in-depth session of Jim Cramer’s Mad Money TV Program, Tuesday August 4.
Bank of America (BAC)
Read more articles from Seeking Alpha Jim Cramer
The Dollar may reverse its weakness says Bank of America and Merrill Lynch
June 5, 2009 by
Filed under Daily Alerts
The EUR/USD is currently trading at $1.4230 as of 8:33am, London Time.
Go to Source
The Dollar may reverse its weakness says Bank of America and Merrill Lynch
June 4, 2009 by
Filed under Daily Alerts
The EUR/USD is currently trading at $1.4230 as of 8:33am, London Time.
Go to Source
Bank of America / Merrill Lynch Propose New Scenario for ‘MicroHOO’ Deal
February 14, 2009 by
Filed under News
Third Party Feed:
Media Tech Analyst submits:
In a new twist on the Yahoo-Microsoft (YHOO) (MSFT) saga, analysts at Bank of America (BAC) / Merrill Lynch are proposing that Microsoft contribute their online services business and cash ($12bn-$21bn) to Yahoo in exchange for a 49% stake in the combined entity, with an option to increase its stake to above 50%. Under that scenario, they value the combined entity at $26bn to $41bn, with Yahoo shareholders receiving an estimated $14.20-$22.50 per share, including an immediate cash dividend of $4.60-$7.60 per share.
The firm’s rationale is that Microsoft’s online business is best left in the hands of a company with a core competence in Internet advertising, allowing Microsoft to focus on its core competence of software.